How do Organizational Structures impact Employee-Driven Innovation?

Abstract

Organizations with different organizational structures organize innovation differently. Thus, it is likely that organizational structures impact employee-driven innovation (EDI) as well. This thesis researches this topic; the research question is: ‘How do different organizational structures impact employee-driven innovation?’. The research explores this question through interviews with employees, innovation managers, and consultants, leveraging their perspectives and expertise to discern optimal strategies for fostering EDI within different contexts. These insights reveal the intricate connections between organizational structures and EDI-supporting structures.
Based on the information, common relations between organizational structures and EDI-supporting structures are found. Furthermore, a taxonomy between the different organizational structures is created, and important factors within organizations are identified. Additionally, a taxonomy in EDI-supporting methods is identified. The thesis finds that the freedom of communication and autonomy within an organization relates to whether a structure is necessary to facilitate the ability of employees to communicate their ideas. The second most important factor is the importance of building community. In organizations where community building is a priority, the employees should be involved in the innovation process as much as possible. In organizations where community building is not a priority, events or innovation managers who preside over the innovation process are the better practice to support EDI.